- CSE Global (SGX:544)'s FY22 revenue grew by 19% y-o-y to S$557.7m, in line with estimates. The infrastructure segment was the largest driver of revenue growth (+52.8% y-o-y), with the bulk of the increase coming from Australia and the Americas.
- - Read this at SGinvestors.io -
- In terms of proportions, the infrastructure segment has steadily grown from 30.6% in FY21 to 39.3% in FY22, a result of CSE Global’s strategy to diversify into the non oil and gas segments. CSE Global also managed to reduce the energy segment’s contributions from 59.2% in FY21 to 49.6% in FY22.
FY22 net profit declined 68% y-o-y to S$4.7m due to one-off restructuring costs and cost overruns, significantly below expectations.
- - Read this at SGinvestors.io -
- In addition, CSE Global also incurred restructuring costs of S$1.3m in relation to a business division in the US. Supply chain disruptions were another key reason for weak earnings, as it lengthened project execution time frames, which led to increased project execution costs. As a result, net margin declined from 3.2% in FY21 to 0.9% in FY22.
FY22 new order intake is robust at S$808.4m, +74.9% y-o-y.
- Read more at SGinvestors.io.
Above is the excerpt from report by DBS Group Research.
Clients of DBS may access the full report in PDF @ https://www.dbs.com/insightsdirect/.
Lee Keng LING DBS Group Research | Singapore Research Team DBS Research | https://www.dbs.com/insightsdirect/ 2023-03-01
Previous report by DBS:
2022-08-16 CSE Global - Hold On Tight Amid Supply Chain Disruptions.
Price targets by 3 other brokers at CSE Global Target Prices.
Listing of research reports at CSE Global Analyst Reports.
Relevant links:
CSE Global Share Price History,
CSE Global Announcements,
CSE Global Dividends & Corporate Actions,
CSE Global News Articles
